Debt Settlement Agreement Letter Sample

I am thankful for your patience. I am normally quite diligent about paying my debts. But while in the hospital a number of my bills fell to the wayside. I understand extenuating circumstances do not help pay your bills and giving me a little extra time to settle this debt is greatly appreciated.

According to your current invoice (a copy of which is attached) I still owe your company $3724.77 for the renovations you performed on my home in May 2012. Per our original agreement this debt should have been paid in full by September 2013. Otherwise the bill would begin to accumulate penalties. As we agreed on the telephone this morning accounting has agreed to waive any penalties to the debt if I begin payments before February. In that regard I am enclosing a check for $300. From this point forward I will make a payment of $200 by the 15th of every month starting in March with a final payment being received in August 2015.

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